Dubai Business Setup Hidden Costs in 2026: What AED 12,500 Does Not Cover
A transparent breakdown of what Dubai business setup packages typically do and do not cover, so you can plan a realistic first-year budget and avoid the 'cheapest package' trap.
Dubai setup consultants love advertising packages at AED 5,750, AED 12,500 or AED 18,500. These numbers are usually real, but they rarely cover everything you need to actually operate the business. Here is the honest 2026 breakdown of what the advertised price covers, what it does not, and what the real first-year total looks like.
What a typical AED 12,500 Dubai free zone package covers
- Trade licence for 1 activity, 1 year
- Flexi-desk at the free zone business centre
- Trade name reservation
- Initial approval
- Memorandum of Association drafting
- Chamber of commerce membership (sometimes)
What it typically does not cover
- Establishment card: AED 1,500 to AED 2,500 (mandatory for issuing visas).
- E-channel registration: AED 2,200 (needed for visa processing).
- Residence visa: AED 3,500 to AED 6,000 per person including medical, Emirates ID and stamping.
- Visa deposit (refundable): AED 2,000 to AED 3,000 per visa, held by immigration.
- Medical insurance: mandatory for residence visa, AED 1,500 to AED 7,000 per year per person depending on tier.
- Bank account activation: some banks charge AED 1,500 to AED 5,000 account opening fee; most require AED 10,000 to AED 50,000 minimum balance.
- Attestation of foreign documents: AED 500 to AED 5,000 per document chain (if a degree or birth certificate is needed).
- Economic Substance Regulations (ESR) filing: AED 500 to AED 3,000 per year if your activity triggers it.
- UBO filing: no cost if done in-house, AED 500 to AED 1,500 if outsourced.
- VAT registration (if above AED 375,000 turnover): free to register but ongoing compliance costs AED 1,500 to AED 3,000 per quarter.
- Corporate Tax registration: free, but annual return filing AED 3,000 to AED 10,000.
- Audit (if required): AED 4,000 to AED 15,000 per year for DMCC, DIFC, ADGM entities.
- Annual chamber of commerce renewal: AED 1,200 to AED 2,500.
Realistic first-year total
- Solo free zone (zero-visa, SHAMS or IFZA): AED 12,500 to AED 18,000 all-in (closest to the advertised price).
- Free zone + 1 residence visa + bank account: AED 20,000 to AED 35,000 all-in.
- Mainland LLC + 1 visa + Ejari office + bank: AED 35,000 to AED 50,000 all-in.
- DMCC + 1 visa + audit + bank: AED 40,000 to AED 60,000 all-in.
- DIFC Innovation Licence + 1 visa + flexi-desk: AED 25,000 to AED 40,000 all-in (year 1 licence is only AED 1,500).
Red flags in consultant pricing
- Package advertised at AED 5,750 with "visa included" when the visa is actually a separate AED 5,000 add-on.
- No written scope before you pay a deposit.
- "We'll handle the bank account" without naming which banks or giving timeline.
- Charging for Chamber of Commerce as a separate add-on when it is usually included.
- Pressuring you to decide on the free zone within a day.
- Not mentioning establishment card, e-channel or deposit fees up front.
How Breeo prices
We issue a written itemised quote covering every government fee, service fee and add-on before any payment. The quote stays valid for 30 days. If something costs extra later (for example, you decide to add an activity mid-process), we quote the extra cost in writing before you commit. No hidden charges, no bait-and-switch.
Rule of thumb: assume the advertised Dubai setup price covers only the licence and flexi-desk. Add AED 7,000 to AED 10,000 per residence visa (including medical, Emirates ID, insurance), AED 2,200 e-channel, AED 1,500 to AED 2,500 establishment card, and AED 10,000 to AED 50,000 bank minimum balance. The real first-year number is 50 to 100 percent higher than the advertised package.
For a transparent quote on your specific case, see our cost calculator or talk to our team.
Frequently asked questions
Why is the real Dubai setup cost higher than the advertised package?
Advertised packages typically only cover licence and flexi-desk. The real total includes visas (AED 3,500 to 6,000 each), establishment card, e-channel, medical insurance, bank minimum balance and chamber of commerce. Realistic first-year budget is 50 to 100 percent higher than the headline number.
What is the realistic first-year budget for a Dubai setup?
Solo free zone with 1 visa: AED 20,000 to AED 35,000. Mainland LLC with 1 visa and Ejari office: AED 35,000 to AED 50,000. DMCC or DIFC with audit: AED 40,000 to AED 60,000.
What are the hidden costs after year one?
Trade licence renewal (95 percent of year 1 fee), chamber renewal (AED 1,200 to 2,500), establishment card renewal (AED 1,500 to 2,500), audit if applicable (AED 4,000 to 15,000), VAT quarterly filing (AED 1,500 to 3,000), Corporate Tax annual return (AED 3,000 to 10,000).
Does Breeo charge extra after the initial quote?
No. Our written quote covers every government fee, service fee and add-on. If scope changes mid-process (for example you add an activity), we quote the extra in writing before you commit. The initial quote stays valid for 30 days.
What is the AED 10,000 to 50,000 bank account minimum balance for?
The minimum balance stays in your business account; it is not a fee paid to the bank. If you drop below the minimum balance in a month, the bank charges a small fee (usually AED 100 to AED 300). The money stays yours.
